Energy Indicators for Sustainable Development: Guidelines and Methodologies International Atomic Energy Agency United Nations Department of Economic and Social Affairs International Energy Agency Eurostat European Environment Agency


ECO14: End-use energy prices by fuel and by sector



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ECO14: End-use energy prices by fuel and by sector 
Brief Definition 
Actual prices paid by final consumer for energy 
with and without taxes and subsidies 
Units 
US dollars (purchasing power parity [PPP]) per unit 
of energy (different units) 
Alternative Definitions 
None 
Agenda 21 
Chapter 4: Consumption and production patterns 
POLICY RELEVANCE 
(a) Purpose: This indicator reflects the final price paid by consumers for energy 
services. Energy prices are driving forces for incentives or disincentives for 
consumption or conservation, or efficiency improvements. Also, prices can affect 
affordability. 
(b) Relevance to Sustainable Development: Energy prices can be regulated to 
internalize environmental and social costs, to manage demand and to encourage 
development of alternative renewable energy options. 
For developing countries, there is a need to increase energy availability and 
affordability, in particular for the lower-income groups of the population, so as to 
improve social and economic development. At the same time, efficient energy use in 
developing and developed countries is a major priority. Appropriate pricing 
mechanisms may be used to overcome inefficiencies. 
(c) International Conventions and Agreements: None. 
(d) International Targets/Recommended Standards: No international targets have 
been established. However, it is widely accepted that external costs of energy 
production and use should be internalized. Furthermore, the Johannesburg Plan of 
Implementation agreed at the World Summit on Sustainable Development calls for a 
phasing-out of environmentally harmful subsidies. 
(e) Linkages to Other Indicators: Related indicators of the economic dimension are 
annual energy use per capita, intensity of energy use, energy mix and emissions of 
greenhouse gases. This indicator is also linked to social indicators such as share of 
household income spent on fuel and electricity. 

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